Bond yields were trading higher on Friday, as bank credit grew by 10.09 per cent to Rs 119.88 lakh crore and deposits by 10.06 per cent to Rs 167.42 lakh crore in the fortnight ended on April 8.
In global front, U.S. Treasury yields were shoved higher in Asia as analysts rushed to predict an ever-more hawkish outlook for U.S. interest rates, punching the belly of the curve particularly hard. Furthermore, oil prices fell, heading for a drop of nearly 4% for the week, burdened by the prospect of rate hikes, weaker global growth and COVID-19 lockdowns in China hurting demand, even as the European Union weighed a ban on Russian oil.
Back home, the yields on new 10 year Government Stock were trading 4 basis points higher at 7.18% from its previous close of 7.14% on Thursday.
The benchmark five-year interest rates were trading 6 basis points higher at 6.66% from its previous close of 6.60% on Thursday.